UK Faces Legal Action over New North Sea Oil, Gas Licences

A general view of a section of a gas platform in the North Sea, June 17, 2024. Leon Neal/Pool via REUTERS/File Photo Purchase Licensing Rights
A general view of a section of a gas platform in the North Sea, June 17, 2024. Leon Neal/Pool via REUTERS/File Photo Purchase Licensing Rights
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UK Faces Legal Action over New North Sea Oil, Gas Licences

A general view of a section of a gas platform in the North Sea, June 17, 2024. Leon Neal/Pool via REUTERS/File Photo Purchase Licensing Rights
A general view of a section of a gas platform in the North Sea, June 17, 2024. Leon Neal/Pool via REUTERS/File Photo Purchase Licensing Rights

Britain's decision to issue dozens of new oil and gas exploration licences is being challenged in court by a marine conservation organisation, which argues ministers unlawfully failed to consider the impact on marine life.

Oceana UK is taking legal action over 31 licences issued under Britain's previous government in May this year as part of the North Sea Transition Authority's latest oil and gas licensing round.

An exploration licence does not necessarily result in a producing field, though environmental groups argue that expansion of oil and gas production is inconsistent with the government's target to become a net-zero carbon economy by 2050, according to Reuters.

Oceana and other members of the Ocean Alliance Against Offshore Drilling this week wrote to Britain's Energy Secretary Ed Miliband, asking him to concede Oceana's legal challenge.

"By conceding the case, the government can make good on promises made to the public and signal a clear departure from the previous administration's continuing reliance on fossil fuels," they wrote.

Britain's Department for Energy Security and Net Zero declined to comment.

Oceana's case is the latest challenge over fossil fuels as campaigners increasingly turn to the law to force governments to move more quickly on tackling emissions, with mixed success.



Oil Prices Steady after Days of Losses

A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. REUTERS/Alexander Manzyuk/ File Photo Purchase Licensing Rights
A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. REUTERS/Alexander Manzyuk/ File Photo Purchase Licensing Rights
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Oil Prices Steady after Days of Losses

A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. REUTERS/Alexander Manzyuk/ File Photo Purchase Licensing Rights
A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. REUTERS/Alexander Manzyuk/ File Photo Purchase Licensing Rights

Oil prices steadied on Wednesday, with benchmark Brent holding above $77 a barrel, after steady sell-offs driven by expectations of reduced Chinese demand and diminishing concerns the conflict in the Middle East could spread and disrupt supply, Reuters reported.

Brent crude futures were up 14 at $77.34 a barrel by 1142 GMT. US West Texas Intermediate crude was 10 cents higher at $73.27.

Since peaking above $82 on Monday last week, Brent had shed 6.2% of its value by the end of trading on Tuesday, closing at a two-week low of $77.20. WTI fell 7.5% in the same period.

As expectations swirl economic weakness in China, the world's biggest crude importer, will subdue demand, stocks in the United States, the world's biggest producer and consumer of oil, are set to rise.

US crude oil stocks were forecast to have risen last week, according to market sources citing American Petroleum Institute figures on Tuesday. Gasoline and distillate stocks fell, however, according to the sources.

Official US government inventory estimates are set to be released on Wednesday at 10:30 a.m. (1430 GMT).